SC Administrative Law Court Decisions

This matter was initiated by a citation issued by the South Carolina Department of Revenue ("Department") against Respondents for a violation of the Video Game Machines Act, S.C. Code Ann. § 12-21-2804(A) (Supp. 1997). On May 20, 1997, Respondents were cited for having more than five licenses acquired pursuant to S.C. Code Ann. § 12-21-2720(A)(3) (Supp. 1997) (referred to as "Class III" machines) at a single place or premise, in violation of § 12-21-2804(A) and 27 S.C. Code Ann. Regs. 117-190 (Supp. 1997). A Department determination was issued sustaining the imposition of the violation. The determination sought revocation of Respondent S&R Services, Inc.'s ten (10) Class III machine licenses, that no licenses will be allowed for use in the location for a period of six (6) months from the date of revocation and a $5,000.00 monetary penalty against each Respondent.

Prior to the hearing on this matter scheduled for May 4, 1998, the parties worked out an agreement resolving the matter. That agreement is incorporated into this Order. The agreement between the parties is as follows:

1. Respondents admit that on May 20, 1997, at the time of the inspection, there were no employees on the premises of "Cleats" and "Cleats Godivas," located at 4725 Augusta Road, Greenville, South Carolina. Each of the two areas contained five Class III video poker machines and licenses. Respondents further agree to the revocation of Class III machine license numbers 3804408, 3804409, 3804410, 3804411, 3804412, 3804108, 3804109, 3804110, 3804116, and 032999. These licenses have previously been surrendered to the Department of Revenue.

2. Respondents further agree not to operate or allow the operations of any Class III machines at the two game rooms depicted in the shaded area on the attached diagram, at 4725 Augusta Road, Greenville, South Carolina, for a period of six months from May 4, 1998. Nothing herein shall prohibit the operation of Class III licensed machines in any other area on the attached diagram in accordance with the S.C. Video Game Machines Act and applicable regulations.

3. Respondents further agree to remit to the Department a monetary penalty in the amount of $500.00 no later than 5:00 p.m. on May 8, 1998.

4. In consideration of the above, the Department agrees to waive the remaining monetary penalties sought for this violation as to each Respondent.

5. All parties understand and agree that the terms as set forth above constitute the full and final resolution of this matter.

I find the above settlement to be fair and equitable, approve such settlement, and hereby ORDER its adoption. This Court retains continuing jurisdiction to enforce this Order. As the parties no longer require a hearing on this matter, I also ORDER this matter dismissed with prejudice.

IT IS SO ORDERED.

Chief Judge

May 4, 1998

Columbia, South Carolina

WE SO CONSENT:

Attorney for Petitioner

Attorney for Respondents